12th Mar 2020 11:05
(Alliance News) - Shares in Carr's Group PLC dropped on Thursday after it said its interim performance will be below expectations due to challenging conditions and contract delays.
The stock was trading 33% lower at 93.00 pence each on Thursday morning in London.
The agriculture and engineering group said continued mild weather, as well as challenging conditions in the UK and US agricultural markets has resulted in volumes and margins for feed and supplements being "significantly behind" expectations, for the 26-week period to the end of February.
Delays in receiving expected orders destined for Japan and China since January also hurt its engineering business, Carr's added.
"As a result of the continuing challenging agricultural environment, both in the UK and overseas, together with a delay to engineering contracts in Asia, the board anticipates the group's performance for the current financial year to be significantly below its expectations."
Looking ahead, the Carlisle-based company said that due to uncertainty in the agricultural markets, it is in the process of implementing further cost reduction methods to "better position both divisions beyond the current financial year."
The company will report it results for the 26-week period ending February 29 on April 15.
By Ife Taiwo; [email protected]
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